NEW YORK — While the $17.4 billion bailout for the U.S. auto industry may prevent General Motors Corp. from sliding into bankruptcy protection this year, the fate of its struggling financing arm remains up in the air.

Time is running out for GMAC Financial Services to get the needed capital to turn itself into a bank holding company and become eligible for its own piece of the $700 billion bank rescue plan. If it doesn't receive the necessary backing, analysts say GMAC could be forced into bankruptcy protection.

Meanwhile, Chrysler LLC's financing arm is also awaiting word on its application for federal financial help.

GMAC is in the midst of a $38 billion debt exchange designed to raise the $30 billion in regulatory capital the company needs to become a bank holding company. It faced a key deadline yesterday for bondholders to participate and receive financial incentives to tender their notes.

But it's unclear if the company, which provides financing for both GM dealers and customers, along with home mortgage loans, will find enough takers. As of the end of Wednesday, the company was well short of the percentage needed for the deal to succeed.

It's also uncertain what impact yesterday's automotive bailout by the government will have on GM's financing arm.

GMAC spokeswoman Gina Proia would not comment on whether GMAC will ultimately see any of the bailout money going to GM. She said the company remains focused on completing its tender offers and becoming a bank holding company.

"The auto aid package doesn't reference provisions for financing companies, but clearly we're encouraged that government recognizes the importance of the industry," she said.

Fritz Henderson, GM's president and chief operating officer, told reporters in Detroit that the automaker and GMAC are "on the same timetable but different paths."

He said GM will do what's necessary to help GMAC's situation, but he declined to provide additional details.

GMAC warned last week that failure to convert to a bank holding company would have a "material adverse effect" on its business. And analysts have speculated that without financial help, the company could be forced to file for bankruptcy protection or shut down Residential Capital LLC, its money losing mortgage division.

A failure at GMAC, which is 51 percent owned by Cerberus Capital Management LP, could also spell disaster for GM itself, which owns the rest of the company. A GMAC bankruptcy filing could cut off financing to the about 85 percent of GM's North American dealers it does business with.